Cloud computing is now firmly in the minds of CIOs at British financial institutions, according to a new Fujitsu study. Sixty per cent of banks believe that it will help them meet their business strategies. Meanwhile, 49 per cent stated that mobile banking is important to customers today, while 71 per cent predict it will be by 2015.

The study was conducted with 50 CIOs from across the UK wholesale, investment and retail banking community. Three quarters of respondents felt that the main benefit of investing in mobile banking was the ability to retain customers and also to enhance customer loyalty through better customer experience. This was second only to it being a new revenue stream for financial institutions. However, IT leaders admitted that there are still significant barriers to deploying a successful mobile banking strategy: 64 per cent feel that security is still a significant barrier, with 42 per cent also deterred by the investment needed.

When it comes to the cloud, 64 per cent believe that it is a key enabler of change within their organisation. A significant number of respondents plan on deploying cloud-based solutions to drive efficiency with core functions, particularly in retail banking functions, such as loan processing (77 per cent), credit card processing (70 per cent) and mortgage processing (64 per cent)

Other study findings include: Investment is critical, with 65 per cent of CIOs warning that in order to transition the IT department to truly meet changing business needs, extra budget will be required; The right skills are also crucial. Financial services companies are increasingly looking for help from third-parties, provided that the latter can demonstrate understanding of core processes; 67 per cent of interviewees look for this strength, with a further third seeking enterprise/infrastructure skills.

“The financial services industry has faced some tough challenges recently and will continue to do so for a few years, at least," says Anthony Duffy, director of retail banking, Fujitsu UK & Ireland. “Banks need to adapt, change and seek new revenue streams in order to thrive and succeed."

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